Mutual Benefits pays N160m dividend

Mutual Benefits Assurance Plc has said it will reward its shareholders with N160m dividend for the 2017 financial period.

This was disclosed at its 22nd annual general meeting in Ibadan, Oyo State, by the Chairman of the company, Dr Akin Ogunbiyi.

He said the firm recognised the unflinching support of its shareholders throughout the journey of turning it around and firmly putting it on the path of growth and profitability.

“The board of directors is proposing a dividend of N160m for approval. If approved, this translates to two kobo on every ordinary share,” he said.

This dividend payment, he explained, marked the beginning of consistent payment of dividend to its shareholders.

The chairman said the 2017 performance results showed that the company bounced back into profitability after the loss recorded in 2016.

In keeping with its five year strategy plan, he said the company grew the business with increase in gross premium written by 15.6 per cent to N14.04bn in 2017 from N12.14bn in 2016.

He disclosed that the gross premium income also increased by 11.4 per cent to N13.35bon in 2017 from N11.9bn in 2016; while net benefits and claims paid increased by 53.9 per cent from N3.35bn in 2016 to N5.15bn in 2017.

The chairman revealed that investment and other income increased by 59 per cent from N1.79bn in 2016 to N2.84bn in 2017; while topline growth was combined with prudent management of expenses, which resulted in a 224.9 per cent growth in profit before tax to N1.34bn from a loss of N1.1bn in 2016.

Ogunbiyi said, “Our investment strategy also ensured that the group’s total assets grew by 12.1 per cent from N51.5bn in 2016 to N57.7bn in 2017. Both shareholders’ funds and policyholders’ funds are represented by the right portfolio mix of short and long-term investments.”

While noting that Mutual Benefits was in the second year of its five year strategy plan, he said this year, it would consolidate on the modest achievements recorded in 2017 by commencing its IT transformation blueprints.

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